Deere & Company had the following balances in its short-term receivable accounts at October 31, 2010 (in
Question:
Deere & Company had the following balances in its short-term receivable accounts at October 31, 2010 (in U.S. millions): Allowance for Doubtful Trade and Notes Receivables $71; Allowance for Doubtful Financing Receivables $225; Financing Receivables $20,875; Other Receivables $925.6; and Trade Accounts and Notes Receivable $3,535.2.
Instructions
(a) Show the presentation of Deere & Company's receivables in the current assets section of its statement of financial position at October 31.
(b) The balance in the Allowance for Doubtful Financing Receivables at the beginning of the year was U.S. $239 million while Bad Debts Expense for this type of receivable was U.S. $102 million. What was the amount of financing receivables that the company wrote off during the year?
Step by Step Answer:
Financial Accounting Tools for Business Decision Making
ISBN: 978-1118024492
5th Canadian edition
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso, Barbara Trenholm, Wayne Irvine